WATER PINCH TECHNOLOGY FOR DESIGNING WASTEWATER REDUCTION AND WATER CONSERVATION SYSTEMS I. P. RA[KOVI] Faculty of Technoloversity of Ni{, Serbia buki@bankerinter.net During the past decade, wastewater reduction and water conservation are becoming increasingly more important issues in process industries. Process integration technology has been viewed as one of the most important methodology for overcoming these problems. Two key branches of process integration can be recognized as: Energy integration and Mass integration. Mass integration is a systematic methodology that provides a fundamental understanding of the global flow of mass within the process and employs this understanding in identifying performance targets and optimizing the allocation, separation, and generation of streams and species.. In the context of wastewater minimization, a mass integration problem involves transferring mass from rich process streams to lean process streams in order to achieve their target outlet concentration, while minimizing waste production and utility consumption (including freshwater and external mass separating agents). In this paper water-pinch technology, a type of mass integration involving water-using operations is presented. Water pinch is a systematic technique for analyzing water networks and reducing water costs for processes. It uses a graphical design method to identify and optimize the best water re-use, regeneration and effluent treatment opportunities. Theoretical background of water pinch technology is illustrated by dephenolization problem in oil-recycling plant. 120